Deadlock over payments affects waste collection.

LAHORE -- Delays in releasing payments to two Turkish contractors working in the waste management because of forensic audit has disrupted the waste collection, transportation and dumping in the city.

The LWMC plans to start performing waste-management itself from Jan 1, 2021, as international contractors' extended agreement period expires on Dec 31, Dawn has learnt.

'It seems the government and the company (both board of directors and management) are reluctant to release payments due to 'fear factor' due to the ongoing period of forensic audit,' an official source told Dawn on Friday.

'Contractors are also not ready to work dedicatedly over the payment issue.'

The provincial government introduced the solid waste management system in the city in 2010 after wrapping up the then city district government's SWM chapter and outsourced the system to two Turkish contractors. The company also built landfill sites at Lakhodair. Under the arrangement, both contractors were allotted several urban union councils. However, the LWMC undertook waste management responsibility in 22 rural UCs.

'The situation changed in 2018 over the 'accountability' factor. A couple of MDs fled abroad to avoid inquiries. Later whosoever came to steer the company couldn't stay for a long time,' the official explained.

The LWMC is to pay Rs700 million to contractor Albayrak and Rs1.5 billion to another (Ozpak).

The official said another issue was the agreement with the aforementioned contractors that expired last year. And the company continued extending the contract from time to time due to hiring of new contractors, bidding process, non-availability of machinery etc. Since Dec 31 is the last date of the extended agreements with both companies, the company has decided to undertake the entire cleanliness-related jobs after taking over from the contractors.

'But the contractors are not...